Employment Law
Employment Law
Employment Law
Chapter I. Introduction/Background to
Employment Law
Employment law is a phenomenon of industrial era
…..prior to that there were practices of slavery and
tenancy.
Yet, for employment law to exist, a free labour
capable of freely contracting to render service is
necessary.
Consequently, slavery and tenancy were abolished
at different times in different countries across the
world.
Employment Law
Traditionally, labour relation(employment) was
entirely left to private regulation through contract.
(freedom of contract)……gov’t then merely served
to enforce promises of the parties.
However, unequal bargaining power of the two
(capital & labour) resulted in unfairness and social
unrest.
This called for state intervention in different
forms(Notably legal regimes regulating emp.
Read Historical Development of Labour Law in
Ethiopia.
Employment Law
What is an employment relationship?
Distinction of employer-employee relationship
vis-à-vis other forms of relationships.
‘It is a relationship established through a contract
of employment and it shall be deemed formed
where a person (the employee) agrees, directly or
indirectly, to perform work for and under the
authority of another (the employer) for a definite
or indefinite period or piece of work in return for
wages.’
(Art 4(1) of LP adopts a similar definition.
Employment Law
Definitional Elements:
Agreement(a voluntary engagement). Forced labour is excluded.
Whether the employment is negotiated directly between employee
and employer or made through intermediaries is irrelevant.
It is important to note that the definition of civil Servants under the Federal
Civil Servants Proc. No. 515/2007 excludes the following categories:-
Government officials like state minister, deputy director general &
equivalent;
Members of House of Peoples’ Representatives, House of the Federation;
Judges and prosecutors;
The Armed forces, the Police force;
Daily laborers;
Internships and trainees;
Independent contractors;
Part-time employees with special skills and ability; and
Those excluded from the proclamation by other appropriate laws
Employment Law
3. Object:
Regarding object of employment contract, Art-
4(2) of the LP provides that ‘contract of
employment shall be stipulated clearly and in
such manner as that the parties are left with no
uncertainty as to their rights and obligations’.
Besides, Art-4(4) prohibits the conclusion of an
employment contract for the performance of
unlawful and immoral activities.
These two rules are in line with the general
contract principles.
Employment Law
However, two important issues might be raised: (1)
since the Labor law does not provide for the effect of
non-compliance of these rules, what will be the
effect of not complying with these rules?
Can we refer to the general contract principle of the
Civil Code to see their effects? Can we apply the rule
of Article 8 by analogy to protect the rights of the
worker even in the case of such non-compliance?
and (2) Article 4(4) does not apparently prohibit
impossible activities unlike civil code Art.1715.
Does such omission mean that an employment
contract can be concluded for an impossible object?
Employment Law
4. Forms of Employment contract:
In principle there is no requirement of form for labor
contracts. (Art-5 of LP), what is the purpose of Art-7 of LP
then?
‘ In written form’ only exceptionally, (Eg. Employment for
probation, Art-11(3) of LP and contract of apprenticeship-
Art- 48(3) of LP).
The rationale of the law for not requiring special form seems
to be for the protection of the weaker party (i.e. the worker)
because the effect of non-compliance to form requirement
under Article 1720(1) is severe, i.e. non-existence of a valid
contract.
Employment Law
However, the Proclamation under Article-6 provides some
binding rules for contract to be made in writing.
What does “subject to the provisions of the relevant law”
mean in this article?
Does that mean requirements like witnesses (Art. 1727(2) of
the Civil Code), signature authentication before notary public
(Art. 1728(3) of the Civil Code), etc…should be fulfilled?
Article 6(4) on the other hand refers to only signature by
contracting parties. How do you inter-relate these provisions?
See also these provisions in line with Article-8 of the Labor
Proclamation. What do you think is the rationale behind this
latter provision of the law?
Employment Law
For civil service: written form is prescribed. Art.
1724 C.C(a contract with public administration)
But, is there a proper contract of employment
between the civil servant and the government
office(is a letter of appointment a contract
proper ?)- Art.18(1) of CSP.
In principle, contractants are supposed to
exhaustively state their respective rights and duties
in their contract. Yet, in employment terms are
implied into the employment contracts(Arts 12-14
of LP and Arts 61-65 of the FCSP).
Employment Law
Among the obligation of the employee, we find
“Observing work rules issued by the employer”
(Art.13 (7) LP)
What does this imply? What if the employer
establishes search at the gate of the enterprise
while checking in and exiting for the employees?
Can an employee invoke the right to
privacy/presumption of innocence to object such
search in her body and belongings?
Employment Law
What about dress code? Assume that the dress code of the
enterprise is in conflict with the religious dress code of the
employee, will the employee be justified if s/he invokes
freedom of religion to disregard the enterprise’s dress code?
5. As a contract, employment too requires the free and full
consent of parties involved. Besides, the following
possibilities are some of the manifestation of consent in
Ecs.
Modification of terms( Art-15 of LP).
Suspension of rights and obligations arising out of
contract of employment so long as it is pertinent with the
laws.
Employment Law
Suspension- temporary susp./interruption of
rights and obligations arising out of a contract of
employment.
It is not always consensual.
The employee will not be required to provide
service to the employer and:
The employer will not be obligated to pay
wages and other benefits to the employee.
Employment Law
The law under Art-17(2) allows also for partial
interruption of rights to be set by law/by
collective agreement.
……….so, a collective agreement can be made,
for example as per Art-27(4), for a suspension of a
worker from work but with pay and other benefits.
This is partial interruption because only the
worker’s obligation to work is suspended
Nonetheless, their contractual engagement
remains intact in both cases.(Art-17 of LP)
Employment Law
Consequences of Termination.
Certificate of Service
Testifies duration of service; the position held;
and the remuneration earned while employed.
(Art.12 (7) LP & Art.87 FCSP)
Why is it important?(future hunt for job?)
Available free of charge
Reason for termination need not be stated in
such document(‘the right to clean certificate of
service’).
Employment Law
Nonetheless, if the employer is willing and ready
to write terms favorable to the employee, the law
does not seem to have any objection.
“Nothing unfavorable to the worker should be
inserted in such certificate” Art.8(2) of
Recommendation No.119 of the ILO.
Ethiopia used to have laws obliging an inclusion
of reason of termination in such a document( Eg.
Art.2588(2) of the CC, previous CSP, No.
262/2002)
Employment Law
The new FCSP No. 515/2007 has removed this
requirement. Art 87 states:
Scope wise labor dispute does not cover all controversies between
worker(s) and employers (the definition is given with restriction to
controversies related to employment matters.)
So, a controversy related to a loan relationship
between workers and employers will not be
considered as labor dispute